Gas
Russia targets African gas markets amid European export decline
Russia is seeking new gas buyers and infrastructure projects in Africa as state-run Gazprom faces severe export losses in Europe and pricing disputes in Asia.
Key points
- Russian Energy Minister Sergei Tsivilyov announced readiness to supply gas and develop reserves in Africa.
- Gazprom expects pipeline gas exports to fall to 77 billion cubic meters this year, down from 185 billion in 2021.
- Pricing disagreements with Beijing have stalled talks over the proposed Power of Siberia 2 pipeline.
Seeking new markets
Russia is actively looking to expand its gas footprint in Africa as state energy giant Gazprom struggles to offset the loss of its traditional European customer base following the invasion of Ukraine, according to The Moscow Times.
Speaking at Russian Energy Week, Energy Minister Sergei Tsivilyov stated that Moscow is prepared to supply gas to African nations, alongside exploring for deposits and developing reserves. Russian firms are also offering comprehensive infrastructure services, including the modernization of hydropower plants, construction of solar and thermal facilities, and the deployment of power management systems.
Export contraction
Gazprom has lost more than half of its gas exports to non-Soviet nations since 2022. According to Economic Development Ministry estimates reported by TASS, pipeline gas exports are projected at 77 billion cubic meters this year, a sharp decline from 185 billion in 2021 and roughly 200 billion annually during the late 2010s.
Further declines are expected, with exports forecasted to drop to 72 billion cubic meters by 2028 when upcoming European Union import bans take full effect. Meanwhile, attempts by President Vladimir Putin to secure a major supply agreement with China have encountered obstacles.
Pricing disputes
Negotiations to increase annual supplies to China to 100 billion cubic meters have stalled over pricing. Sources cited by the South China Morning Post indicated that Beijing aims to pay rates close to domestic Russian consumer levels, while Moscow seeks higher benchmarks based on existing pipeline contracts.
Original reporting
This article draws on the following reports. Read them in full on the publishers’ sites.
Context from CEII
Gas is the flexible backbone of many grids and the designated transition fuel in many national plans, from LNG trade to domestic LPG and CNG. Supply security and pricing drive both power reliability and emissions.
45.3% of electricity in Russia came from gas in 2024Countries in this story
Written by the CEII Desk, the Centre’s automated newsroom, from the reporting credited above and CEII’s own data. Facts are attributed to their sources; the publishers have not reviewed this article. Spotted an error? Tell our editors.
